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re: Jerome Powell says the Fed could hike rates by .75 AGAIN in July!

Posted on 6/17/22 at 7:22 am to
Posted by Upperdecker
St. George, LA
Member since Nov 2014
32716 posts
Posted on 6/17/22 at 7:22 am to
quote:

What is your short (less than 3 months) and longer term outlook on semiconductor stocks?

Short term probably not buying. Looking for inflation to level off and China to stay open. Long term semis will still be a great investment, but hard to say if it’ll be the same ones or if American or other Western based companies taking market share. Long term I’d like to invest in semiconductors being manufactured in North America or South America
Posted by Auburn1968
NYC
Member since Mar 2019
25059 posts
Posted on 6/17/22 at 11:50 am to
Ah, reminds me of Jimmy Carter's days.
Posted by TigerintheNO
New Orleans
Member since Jan 2004
44104 posts
Posted on 6/17/22 at 12:07 pm to
quote:

What are consumers buying right now that needs to be slowed down? I haven’t been spending a ton on luxury items. Is the general population spending lavishly?



not sure, but its been hard to find a parking spot at the New Orleans airport recently
Posted by JOJO Hammer
Member since Nov 2010
12324 posts
Posted on 6/17/22 at 1:08 pm to
quote:

I'm pulling all of my holdings tomorrow and converting them to cash now.


When do you decide to get back in?
Posted by JKLazurus
Member since Jun 2016
261 posts
Posted on 6/17/22 at 1:54 pm to
quote:

I’m not understanding. The point of increasing rates is to control inflation and reduce consumer spending. What are consumers buying right now that needs to be slowed down? I haven’t been spending a ton on luxury items. Is the general population spending lavishly?


I’ll be honest, none of the media coverage makes a lot of sense to me. From a practical standpoint you need to create a recession to discourage purchasing in order to fight inflation. But, every article I’ve read fails to address the fact that a recession is imminent if you eliminate demand.
Posted by moneyg
Member since Jun 2006
61957 posts
Posted on 6/17/22 at 3:18 pm to
quote:

Jerome Powell says the Fed could hike rates by .75 AGAIN in July!


I think the mathematical estimates are that rates needs to be raised about 6-9 points in order to get inflation below 4%.

I think the monthly increase is a given and frankly, it should be more than 75 basis points per increase.
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